The Importance of a Housing Counselor and How to Find One
Finding housing that is safe, clean, affordable, and convenient for you and your family is essential; there are many different options, limitations, and programs you’ll run into during your search. Sometimes, finding the option that is right for your unique situation can prove difficult, and it can be beneficial to seek some outside expert guidance to assist you; this is where housing counselors come in.
Below, we’ll take a look at the importance of a housing counselor and how to find one.
What is a housing counselor?
Whether you’re trying to buy a home, rent a property, dealing with a foreclosure, or have questions and don’t know where to begin, enlisting the help of a housing counselor can make any process go much smoother and ensure that you make the right decision.
A housing counselor is someone that has been specially trained to assist you in making financial decisions when it comes to your housing situation. A counselor can help you in the following areas:
- Assessing your housing budget, or helping you create one
- Finding and presenting options to you if you are in trouble of foreclosure, eviction, or otherwise losing your home
- Providing information on different program options available to you during your search for affordable housing
- Assisting you with communications with a mortgage company or representative and helping you to understand any options or terms presented to you
- Educating you on the home buying process in general
How do you find a housing counselor to assist you?
Housing counselors should be approved by the Department of Housing and Urban Development (HUD). HUD has trained housing counselors that can assist you throughout the country. There are a few ways to contact and enlist the help of a counselor:
- The Consumer Financial Protection Bureau has a “Find a Counselor” tool available on their website for your use in finding a counselor near you.
- The Consumer Financial Protection Bureau also has a phone number you can call to speak with a counselor via phone. The phone number is 855-411-2372.
- A hotline called the HOPE Hotline has been established to connect you with a housing counselor who can help you. The toll-free phone number is 888-995-4673.
- HUD has a voice system you can contact for more information and to locate a counselor. The toll-free phone number is 800-569-4287.
- HUD has a website where you can search for housing and foreclosure counseling
The cost of enlisting the services of a housing counselor is based on your financial situation and what assistance you require for your housing situation and needs. The following services should always be free of charge:
- Foreclosure prevention counseling
- Homeless counseling
Counselors are allowed to charge reasonable rates for the following services:
- General housing education
- Mortgage and reverse mortgage assistance
- Rental counseling
Often, however, the services listed above can still be available at little to no charge depending on your financial situation.
What is the process like after you contact a counselor?
When you’ve reached out to a housing counselor, they will need to know more information on your financial situation to best serve you. Be sure to have the following information ready:
- Tax returns
- Pay stubs
- Bank and savings statements
- Credit card statements
- Utility bills
- Other loan information
- Other recurring payment information
Remember to be honest about your situation so that your counselor can give you the proper help and guidance you need as it pertains to your housing situation. Also, be sure to only provide your information to a HUD-certified counselor for your safety.